Global electrolyser market on track to reach $42.4 billion by 2034
The global electrolyser market is on track to rise from USD 4.7 billion in 2024 to USD 42.4 billion by 2034, according to a Future Market Insights report.
Electrolyser sales are projected to register a 24.6% compound annual growth rate (CAGR) between 2024 and 2034. This follows a staggering 27.9% CAGR between 2019 and 2023.
“Electrolysers have moved from a niche technology to a central pillar of global net-zero strategies,” said FMI according to PR Newswire.
“Manufacturers, investors, and policymakers are now aligned on the role of green hydrogen, setting the stage for a decade of record installations and capacity additions.”
These growths in the market are widely supported by new energy storage models, surging investor interest (particularly across Europe and Asia) and the increase in support for renewable energy.
What predictions are there for the strongest growth?
Proton exchange membrane (PEM) electrolyzers lead the market’s next growth cycle with a predicted CAGR of 24.3%.
These systems are increasing in popularity due to their speedy start-stop capability. These electrolysers use an acidic ion-conducting organic polymer membrane to serve as the electrolyte, keeping the oxygen and hydrogen gases apart.
The top capacity segment is ≤ 500 kW, with a CAGR of 24%. These smaller electrolysers are affordable and easier to integrate within the grid, pushing them to the forefront of the market.
Which countries are most influential on the market?
FMI has identified the United States, China, Japan, South Korea, and the United Kingdom as the world’s most influential electrolyser markets.
South Korea leads with a forecasted CAGR of 26.9%, followed closely by the UK at 26.2%.
China’s electrolyser market is projected to hit USD 6 billion by 2034, but the US leads with a projected USD 7.6 billion market by 2034.
US growth has been largely driven by ultra-low sulfur fuel production and federal clean hydrogen hubs – though many of these have faced recent closures.
The UK is benefitting from strong domestic investments and supportive policy frameworks, while China sees gigawatt-scale projects announced for the near future.
Japan is focused on building hydrogen-centric solutions for urban energy resilience and large-scale renewable integration, while South Korea experiences strong government support for green solutions.
Which manufacturers are making the biggest difference?
Major manufacturers addressed by FMI are:
- Nel Hydrogen (Norway)
- Asahi Kasei (Japan)
- Hydrogenics (Canada)
- Siemens Energy (Germany)
- ITM Power (United Kingdom)
- Ballard Power Systems (Canada)
- Plug Power (United States)
- McPhy Energy (France)
- Teledyne Energy Systems (United States)
- Green Hydrogen Systems (Denmark)
Who is Future Market Insights?
Future Market Insights (FMI), which created this report, is a market researcher providing intelligence and consulting services across over 150 countries.
The research organisation is ESOMAR-certified and involves a team of more than 300 experienced analysts. Research spans a number of industries, from technology to energy to manufacturing.
The company has produced a number of other reports on electrolyser markets. You can find them here:
- PEM Electrolyser Market (2025–2035)
- Hydrogen Electrolyser Market (2025–2035)
- Small Capacity Electrolyser Market (2025–2035)
- PEM Small Capacity Electrolyser Market (2025–2035)
